A New Contract Awarded to Rig Sino-26 by Saudi Aramco

Source: www.gulfoilandgas.com 5/14/2012, Location: Middle East

On April 29th 2012, Saudi Aramco officially sent a letter of award to ZPEB Saudi Arabia subsidiary, awarding a three-year workover contract valued at $45 million to rig Sino-26, which was also a rig having the highest day rate for workover operation since the year 2010, making the number of rigs in the subsidiary reach 20 sets.

In the turbulence situation in the Middle East oil-producing countries and under the background of oil sanction against Iran by western powers since the beginning of the year, Saudi Aramco has been making efforts in drilling more wells to make up the shortfall of oil production. Meanwhile, ZPEB Saudi Arabia subsidiary closely seized the opportunity, intensified the effort on marketing campaign, strengthened the cooperation with Saudi Aramco and Halliburton, made many contracts of drilling and workover rigs successively renewed and extended, which has got the newly added contract value of nearly $60 million. While in the cooperation with Halliburton in the packaged drilling project, the subsidiary has achieved good operation performance, further strengthened cooperation with Halliburton in overseas countries and laid a solid foundation for making the overseas market bigger and stronger. Up to now, the subsidiary has accumulatively spudded 65 wells, completed 64 wells, an increase of 28 wells compared with that in the same period last year, and got a day-rate acquisition of 99.63%, demonstrating a 0.14% year-on-year increase.